The mission of the Utopia Foundation is ‘helping others express their good intentions, by investing in sustainable projects’.  Consistent with this objective, the Utopia Foundation has launched a new micro-finance program in the highlands of western rural Guatemala.

Local stakeholders have identified the need for financial resources in this geographic area to start or expand a micro-enterprise.  Micro-finance will provide opportunity for people to develop economically and educationally while determining their own solutions to poverty. Successful micro-loan programs have proven to have an even broader impact than economic growth, but to also demonstrated increased health and educational and community benefits.

Goal
Provide a resource for the potential entrepreneurs of western rural Guatemala to develop small business that will help lift them from lives of extreme poverty.  This project also provides an opportunity for donors to invest in sustainable humanitarian projects.

How
By making available the financial resource of micro-credit to fund small enterprises in areas such as: agriculture, livestock, handicrafts, textiles, retail, hospitality, food, health and education.

Intended Impact
Assist the people of western rural Guatemala in attaining resources necessary for them to engage in developing businesses, ultimately resulting in education, improved health, and taking positive steps to find solutions to end their impoverished living circumstances.

Methods/systems
The Utopia Foundation has partnered with an existing, micro-credit program that has successfully implemented 15,000 micro-loans in the western highlands of Guatemala.  This initial effort has reached sustainability in a specific geographic area, and is now growing to provide benefits to even more impoverished families living on less than $2.00 a day.

-The average loan in rural Guatemala in $90.00-$250.00, each borrower is charged 2% interest per month, all loans are repaid within 6-12 months.  There is a very high record of repayment of  98.5%, which may be reflective of the group lending model.
-The loans are currently made to individual women; they are members of a larger, formal borrowing group, consisting of 15-20 members.   Each member of the borrowing group has their individual loan and separate businesses.
-Each borrowing group is created with as little as $3,000 in loan capital, providing micro-loans to 10-20 individuals.
-The borrowing group, as a collective is responsible for the repayment each individual loan.

Purpose
The purpose of this program is to provide funds to micro-credit groups for the development of small businesses that will eventually be self- sustaining.  This will promote positive change in communities where families are living in extreme poverty, and assist them in developing their own solutions to living healthy and economically productive lives.

Impact studies
Research has shown that individuals involved in identifying and resolving their own solutions to poverty are more likely to:

-Benefit from better nutrition, and health education

-Benefit from education for themselves as entrepreneurs

-Their children are more likely to attend school, as the parents value education.

-Increased social capital in their communities, and become agents of change, capable of improving their circumstance.

-This program is intended to have a positive impact on future generations, and that is the ultimate goal of sustainability.

The Need
Guatemala is the second poorest country in the western hemisphere, second only to Haiti.  There is an enormous need for micro-finance programs, and they have met with wonderful success.

Our current partner organization implementing the loan process has a waiting list of clients in need of financial resources.  These small loans have the potential to assist families living in extreme poverty to begin sustainable businesses, and have a positive impact today, and on future generations.

Please consider joining us in this effort of providing a resource for positive change in the world.

EMPOWER YOURSELF…

to be part of a grass root effort to provide an opportunity for others to attain economic independence.

Please Donate TODAY!